Ripple: Novatti’s Australian Dollar Backed Stablecoin Goes Live on XRP Ledger

Lavina Daryanani
Source: Coingape

Novatti Group’s 1:1 fiat-backed stablecoin, AUDD, is now live on the XRP Ledger [XRPL]. The fintech company’s stablecoin can be directly swapped with the Australian Dollars via the XRPL. On the XRPL, it takes about 3-5 seconds to process one transaction. Alongside, it costs merely fractions of a cent to facilitate the same. Thus, the fast speed and low cost make the XRP Ledger “ideally suited” to support stablecoins. Chalking out what is in store for users, the official announcement highlighted,

AUDD’s functionality on the XRPL means users around the world can utilize AUDD to make payments and trade with other XRP-based tokens via the native decentralized exchange (DEX). User accounts will be able to access AUDD through any XRPL-enabled wallet.

Also Read: Ripple Witnessed 4 Wins This Week: XRP Turns Bullish

AUDD will help capture the growing demand for digital currencies: Novatti Exec

Well, this is not the first time Novatti has tied up with Ripple. Back in April 2021, the fintech group tapped Ripple’s payments solution for cross-border remittances between Australia and the Philippines. The official statement pointed out that since using Ripple’s payments solution, Novatti has been able to expand its business into 58 countries and process “billions” in annual transaction value. Commenting on the latest development, Peter Cook, CEO of Novatti Group, said,

“By deploying AUDD on the XRP Ledger, we will be able to capture the growing demand for digital currencies and create new revenue streams for our business, while delivering on our promise to make our solution available to multiple networks.”

Furthermore, the statement pointed out that the overall usage of stablecoins set new records in 2022. In fact, the annual stablecoin adjusted transaction volume crossed $7.2 trillion last year, representing 19% YoY volume growth. Alongside, episodes like the collapse of Silvergate have also been a boon for stablecoins, for they’re being used to fill the void created. Thus, by launching a stablecoin in such an environment, Novatti has perhaps hit the nail on the head.

Also Read: After Silvergate, Stablecoins Use for Crypto Trading Likely to Improve

A host of new developments associated with Ripple have unfurled of late. Just a day back, it was revealed that the blockchain company had partnered up with the largest university in Canada, the University of Toronto, to launch an independent XRP ledger validator. The aforementioned collaboration is part of Ripple’s University Blockchain Research Initiative (UBRI) in Canada. It is worth noting that over the past five years, the firm has invested over $2 million in a bunch of universities and colleges.

Prior to that, the blockchain firm also announced the launch of the ‘Ripple CBDC Platform’ in mid-May. The end-to-end solution is set to help central banks, governments, and financial institutions to issue their own CBDC. Moreover, Ripple has also been chosen to take part in the trial run of Hong Kong’s CBDC program.

In fact, as pointed out in a recent article, the activity on the XRP Ledger noted a swift improvement in the January-March period. As far as the numbers are concerned, the daily active addresses and daily transactions increased by 13.9% and 10.7% QoQ, respectively. The receiving addressing grew by 17.1% from 47,000 to 55,000, helping the total active addresses notch up.

Also Read: Ripple Buys Crypto Custody Firm Metaco for $250 Million